Tether, the company behind the world’s largest stablecoin, announced on March 24 that it has hired a Big Four accounting firm to carry out its first full financial statement audit of the reserves backing USDT.
The firm was not named, but Tether said it was selected through a competitive process.
The Big Four refers to Deloitte, EY, KPMG, and PwC.
What the audit covers
Unlike the periodic attestations Tether has published in the past, a full audit goes considerably further.
It requires a detailed review of assets, liabilities, internal controls, and reporting systems — a much higher bar for transparency.
Tether CFO Simon McWilliams stated:
“The Big Four Firm was selected through a competitive process because the organisation is already operating at Big Four audit standard. The audit will be delivered.”
Long-standing scrutiny
Tether has faced years of criticism over whether USDT is truly backed one-to-one by liquid reserves.
The company says its holdings consist largely of U.S. Treasury bills, with smaller allocations to gold, bitcoin, and various loans.
That mix has drawn scrutiny from critics who question the liquidity and risk profile of some assets, particularly during periods of market stress.
Raising the bar
With USDT’s market cap sitting at $184 billion, the stakes around reserve transparency are significant.
Tether’s move toward a full audit signals a shift in how major stablecoin issuers may need to demonstrate solvency as regulatory pressure around stablecoins continues to grow globally.
